The Suspicious Trading Timeline
Key Dates
- June 2023: SEC privately tells issuers their filings are “inadequate.”
- October 2023: BlackRock applies clause surveillance to the Coinbase application suddenly.
- November 2023: Bitcoin saw a sudden 30% rise within just 2 weeks.
- 10 January 2024: ETFs were officially approved.
The Smoking Gun
Between November 2023 and January 2024, a small group of firms opened up $2.8 billion worth of BTC futures positions. Just weeks ahead of approval, BlackRock’s so-called “seed capital” wallets received BTC worth $500 million.
Brokers’ accounts of SEC staffers had odd call options.
Insiders Front-Ran Approval in 3 Ways
1. The Whisper Trade
Bankers at ETF issuers tipped off hedge funds.
The execution of the suspicious trade was the first indication that things were awry.
2. The Seed Capital Loophole
Before approval, Fidelity & BlackRock purchased BTC.
They didn’t disclose these purchases until after the pump.
3. The Revolving Door Play
Ex-SEC lawyers—now at ETF firms—knew approval timing.
Their new firms loaded up on Grayscale GBTC arbitrage plays.
The $3B Heist (And Why No One Was Caught)
- SEC claims “no evidence” (but never subpoenaed issuer emails)
- Companies utilized offshore accounts in the Cayman Islands
- “We merely anticipated the market!”
The truth? This was the largest insider trading scheme since Martha Stewart’s—but without any penalties.
How to Spot the Next Insider Play
- Be wary of sudden “seed funding” announcements
- Monitor futures open interest (OI) spikes prior to important news
- Watch LinkedIn for SEC employee updates (Revolving Door Hires)
Keep in mind: Wall Street’s “research” is more leak than research.
The Bottom Line
The approval of the Bitcoin ETF was a masterclass in elite financial corruption.
Retail bought the top. Insiders sold it to them.
